Location: Pine County, MN | Metro: Pine County, MN
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,390 |
| 5 Bedrooms | $1,612 |
| 6 Bedrooms | $1,805 |
| 7 Bedrooms | $1,949 |
| 8 Bedrooms | $2,046 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $233,146 | 0.43% | F |
| 3BR | $1,210 | $305,784 | 0.4% | F |
U.S. Census Bureau data (2024)
The ZIP code 55795, encompassing Willow River, MN, presents a market characterized by a clear gap between the Fair Market Rent (FMR) and the actual market rent, indicating that the demand for rental properties may be slightly outpacing the supply. The FMR set at $980 for the fiscal year 2026 is notably higher than the current market rent of $811, as reported by the Census Bureau's American Community Survey (ACS).
This suggests that there is potential upward pressure on rents in the future, as the market adjusts to meet the FMR benchmark. The median home value in the area stands at $243,551, which is a stable figure but does not provide insight into the rental market dynamics directly.
The 15.0% renter share indicates a relatively low proportion of renters compared to homeowners. This implies that the majority of the population in Willow River prefers to own their homes rather than rent them. However, this low renter share also suggests that any increase in demand for rentals could lead to significant pressure on the limited supply of rental units, potentially driving up rental prices.
While the percentage of price-cut share and days on market (DOM) are currently unavailable, these metrics would typically help determine if the market is experiencing an oversupply of rental properties or if it is tight. Given the current data, we can infer that the rental market is likely to be somewhat balanced, but with a slight bias towards demand, especially considering the upcoming adjustment to the FMR.
The dynamics of the market in ZIP 55795 point towards a scenario where landlords and small-portfolio investors should be attentive to the changing FMR and the underlying trend towards higher rental costs. This is particularly important given the low renter share, which could mean that any influx of renters could quickly affect the balance between supply and demand.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.